126.96.36.199 Continuation, Variation or Termination of PA
The following table lists the circumstances in which payment of PA may change.
|Payment of PA is…||Until/when…|
|suspended or cancelled,||
Where necessary, these circumstances are explained in more detail in the rest of this topic.
Act reference: SS(Admin)Act section 90 Automatic cancellation-transfer to new payment type
Cancellation or suspension
Normally suspension of PA occurs for very short periods of time.
Example: When a recipient is remanded in custody for less than 7 days.
PA can be restored and paid to the person if they subsequently meet the qualification and payability criteria. However, if payment is cancelled, the person cannot be re-granted PA, and will need to claim and qualify for another income support payment.
Partner loses qualification
Once PA has been granted, the recipient remains qualified for PA, even after their partner's eligibility for payment ceases. The PA recipient partner's eligibility may cease because they returned to work and therefore, their income may affect payment of PA. This also applies to PA recipients who are partners of DSP recipients. When DSP is suspended there is no need to suspend PA.
Example: When the PA recipient's partner starts working, they will be automatically cancelled at the end of the nil rate period.
If PA is cancelled, the person will NOT be able to be re-granted PA, as there have been no new grants of PA since 20 September 2003.
Policy reference: SS Guide 3.1.12 Employment income nil rate period
Recipients over age pension age
Recipients can choose to remain on PA when they reach age pension age instead of transferring to Age.
However, after they transfer to Age they are unable to transfer back as PA is closed to new entrants.
Death of the recipient
The estate of a deceased PA recipient is NOT entitled to one further instalment after the death of the recipient. However, payment should be made up to the end of the day immediately before the day on which the person dies, to the person best entitled to receive it.
As the person was a member of a couple (1.1.M.120), the partner may qualify for some bereavement assistance.
Policy reference: SS Guide 3.1.5 Bereavement payment provisions
Death of partner
A PA recipient qualifies for bereavement payment if their deceased partner was receiving:
- a pension, AND the PA recipient was a long term social security recipient (1.1.L.120), OR
- a benefit, AND BOTH partners were long term social security recipients.
PA recipients are not reviewed separately, but their income and assets are reviewed as part of any review of the primary allowance of the pension recipient.
Policy reference: SS Guide 6.1.3 Reviews - Death of a Recipient